Arusha — South Sudan, the newest but troubled African State which had also applied to join the Arusha-pivoted, East African Community has announced that, the country will need five more years to sensitize its citizens before becoming the sixth member of the EAC. Official reports from the East African Community Secretariat in Arusha are to the effect that South Sudan's council of ministers approved the country's bid to join the EAC, but insisted its government needed five years to sensitise citizens on the benefits and risks of becoming a member. The council, recently chaired by President Salva Kiir, reportedly listened to a memo presented by the presidential advisor and economic affairs, Mr Aggrey Tisa Sabuni that the government must prepare its people on the risks of joining the community as well informing them on the benefits that the citizens of South Sudan are going to gain, as far as the Deputy Information Minister, Racheal Nyadak, is concerned. Meanwhile, the Royal Norwegian Ambassador to Tanzania also accredited to the EAC bloc, Ms Hanne-Marie Kaarstad, has paid a courtesy call on Dr Richard Sezibera, the Secretary General of the East African Community. The Secretary General and his guest discussed a wide range of issues geared towards deepening cooperation between Norway and the East African Community. Ms Hanne-Marie Kaarstad also briefed the Secretary General about the pending visit by the Royal Norwegian Minister of Trade and Industry, Ms Monica Meland to the EAC Headquarters in September 2015. Later, Dr Richard Sezibera and Ambassador...

The East Africa Community (EAC) partner states have imposed Common External Tariff to help traders and farmers in the community to benefit from what they grow and protect rice smuggling that destroy small scale farmers engaged in paddy production in the region. A report from Rice Council of Tanzania (RCT) issued by the Rice Council Executive Director, Winnie Bashagi say that the EAC has decided to imposed the common external tariffs after it identified that right now Tanzania and other EAC rice industry is under the threat of imported rice from Thailand and Pakistan. She said across Tanzania, and the rice value chain, farmers, millers and traders are bitter about the high volumes of cheap Asian rice that somehow makes its way into the country and region duty free. In a national market assessment in March and April, the Rice Council found Chapa Africa Thai rice and Kasuku Pakistan rice in every region visited. “If you look at the wholesale price and what it should cost to import with the EAC rice tariff paid,” says Winnie Bashagi, “it is clear that the tariff was not paid. If the tariff had been paid, the importers would be losing on every kilogramme they sold,” she said. Also in late 2014, the Ministry of Agriculture declared Tanzania to have produced a 700,000-tonne rice surplus. This surplus was trapped in the country as, in June 2013, Rwanda, Burundi and Uganda imposed the Common External Tariff of the East African Community on all Tanzanians in...

Following the departure of Ms. Waturi Wa Matu, who served as Coordinator for the East Africa Tourism Platform (EATP) since the launch of the regional tourism apex body three years ago, the organization has been seeking to fill the position with an equally competent individual from across the member states of Burundi, Kenya, Rwanda, Tanzania, and Uganda. In a breaking news development, it was confirmed that Ms. Carmen Nibigira, former Director General of the Burundi National Tourism Office and presently a Ph.D. Candidate at Clemson University in South Carolina, was selected unanimously and will upon completion of her studies take over the vacant position in Nairobi. Carmen took Burundi’s national tourism office from a previously hibernating state into the spotlight among the East African tourism boards, winning ITB’s Best African Exhibitor Award among many other accomplishments during her one year term of office, before she had to return to the United States to complete her Ph.D. studies. Carmen earned the respect and admiration among East Africa’s tourism fraternity, and no doubt her appointment will be warmly welcomed across the region. Gifted with both academic credentials as well as skills in diplomacy, besides her extensive network in Eastern Africa and beyond, Carmen is thought to be the perfect choice to take over from Waturi and take EATP to the next level, as East Africa’s tourism sector needs to unite to succeed against sharp competition from Southern Africa’s safari destinations. Said Carmen in a brief statement sent out earlier on to this...

Egypt’s exports to international blocs have declined by 3.5% between 2013 and 2014, sliding from EGP 197.2bn to EGP 190.4bn. Imports, on the other hand, climbed by 14% during the same period, from EGP 196.5bn to EGP 223.9bn. This brings the trade balance to EGP 33.5bn in favour of international blocs. The international trade blocs included the Common Market for Eastern and Southern Africa (COMESA), the United Nations of Economic and Social Commission (ESCWA), the Community of Sahel-Saharan States (CEN-SAD), Group of 15 (G-15), Greater Arab Free Trade Area (GAFTA) as well as the Group of Eight Developing Islamic Countries (D-8). Exports to GAFTA inched up by EGP 67.1bn in 2014, increasing by 2.3% compared to the EGP 65.6bn recorded in 2013. Another increase was noted in the export to ESCWA, which climbed from EGP 51.5bn to EGP 52.8bn, registering a 2.5% surge. A deterioration was noticed in the Egyptian exports to the D-8, which dropped by EGP 2.4bn, almost 15%, between 2013 and 2014. Imports from GAFTA climbed up by 19%, from EGP 60.2bn to EGP 72bn, while imports from CEN-SAD decreased by 21%, from EGP 5.4bn to EGP 4.5bn. Exports with international blocs that don’t include Egypt declined by 2.4%, inching down to EGP 70.9bn in 2014 compared to EGP 72.6bn in 2013. Between 7 and 10 June, Egypt held a conference with several African blocs to activate the tripartite agreement. The African blocs included the COMESA, East African Community (EAC) and the Southern African Development Community (SADC).COMESA’s...

CROSS-BORDER traders between Tanzania and Kenya sigh with relief as crossing the border at Holili and Taveta posts has been simplified after opening of One Stop Border Post (OSBP) arrangement. Though trade volume has not yet increased since the OSBP facilities at the two border posts began operation four weeks ago, the volume is expected to pick up with the onset of the harvest season in northern highland regions of Tanzania and completion of construction of a 110 kilometres Voi-Taveta Road which links Kenya to northern Tanzania. According to TradeMark Africa Programme Officer, Daniel Muturi, the Holili/Taveta OSBP is expected to reach its optimal operational capacity once the upgrading of the road is completed in 2017. The road is part of the Mombasa – Voi – Taveta – Arusha road which is one of the alternative transport corridors in the East African Community region, linking the Northern Corridor at Voi, 160 kilometres East of Mombasa, to the Central Corridor at Dodoma and Singida via Arusha. “Trade volume is generally the same because of the (Voi-Taveta) road. What has increased is the speed in border clearance. The road is the major challenge,” the TMA official told reporters from Tanzania and Kenya who toured the border posts last week. The Tanzania Revenue Authority (TRA) Officer in Charge for Holili border post, Aden Mwakalobo agrees that the business volume has not picked up much since the OSBP opening but says it would grow after the harvesting season. The project began operations during low...

A major trade deal signed in June 2015 is about to remake Africa. Dubbed the Tripartite Free Trade Area (TFTA), the 26-nation market created by this deal will liberalize intra-Africa trade, foster cross-border infrastructure investment, and stimulate industrial diversification. The TFTA seeks to merge three existing regional organizations: the Common Market for Eastern and Southern Africa (COMESA), the East African Community (EAC), and the Southern African Development Community (SADC). The result is a territory twice as big as the United States with a population of 632 million and a combined GDP of $1.3 trillion. African countries have traditionally been associated with the export of raw materials to industrialized countries. As a result, there is little free trade within Africa. But while many have long believed that intra-Africa trade is largely in unprocessed goods and raw materials, recent analysis has firmly established that more than half of intra-Africa trade is in intermediate and manufactured goods. Most of the imports, especially from developed countries and emerging powers, are in capital goods such as machinery for production. Despite the rise in regional trade, only about 12 percent of the continent’s commerce is internal, compared with 70 percent in Western Europe, 50 percent in Asia, 40 percent in North America, and 22 percent in South America. Because of the small size of domestic markets, there has previously been pressure to protect local industries from products imported from other African countries. This results in higher penalties for intra-African imports than for goods coming from outside...

The award makes TMA the second organisation in Africa, after the Africa Development Bank, to receive the certification, and the first in East Africa. “This award serves as further proof of TMA adhering to the highest international standards in procurement, maintaining the principles of probity, transparency, consistency and fairness as a benchmark of good management,” said Frank Matsaert TMA Chief Executive Officer. He added, “They were also able to offer evidence as strict adherence to their prevention of bribery and corruption policies as they continue to work hard to maintain these high standards. This was a strong submission and a credit to TMA. I hope they will progress from strength to strength,” A global professional body, The Chartered Institute of Procurement & Supply (CIPS) informed TMA of the certification this week. This comes after a detailed evaluation of the organisation’s procurement structures and practices. CIPS analysed TMA procurement processes according to 110 questions under the following headings; leadership & organisation, people, performance management, process and systems and strategy. The CIPS process, through the 110 questions, provided the greatest audit,internal/ external and constructive feedback received from internal and external stakeholders. After an evaluation period of eight months,TMA received the news of the certification on Monday making it the first East African company to have qualified for the award. The award of the certification places TMA among a very select group of companies globally. Currently, there are only 128 companies in the world that hold this certification. The accreditation is awarded to...

The 2015/2016 budget read recently by Finance Minister, Matia Kasaija, is once again another important policy document that will propel the EAC integration agenda to greater heights. In line with the agreed practice among the partner states, the finance ministers delivered their speeches concurrently as a one of the ways of harmonising economic and fiscal policies. This budget will in many ways address the challenges of the business community and the many people who are looking up to the East African Community for the opportunities the integration process has created. Although some of the pronouncements in Hon Kasaija’s budget were a continuation of the EAC agreed policy frameworks, there were nonetheless areas that came out prominently and are of immense interest to many of us involved in the EAC integration agenda. We are all aware of the importance the government has attached to the energy and infrastructure sectors in recent years. While this is already a vital strategic decision for Uganda, this policy will inevitably take the EAC integration to another level. This is aptly captured in the coming financial year’s budget: “Government’s continued focus on infrastructure investment will enhance regional integration, and develop Uganda’s oil sector. This will unlock private sector activity, stimulate growth and generate much needed tax revenues to finance other deserving needs.” All this is in consonance with Uganda’s heavy investment in trunk roads network, construction of the standard gauge railway and the invitation of the EAC Partner States to invest in the development of the...

Tanzania will lose its market in Rwanda and Uganda if small scale rice farmers will continue to export a mixture of Asian and Tanzanian rice. The warning was issued by Rwanda after learning that there are businessmen who are purchasing cheap rice from Asia countries and mixing it with small proportions of Tanzanian rice before exporting it to Rwanda. “Rwanda has warned Tanzanian businessmen that any businessman who exports rice that is mixed with other sample, will be required to pay 75 percent tariff,” said Ikunda Terry, Country Programme Manager of Eastern Africa Grain Council. He was speaking at a meeting on Tanzania’s Rice Industry that focused on the threats and challenges, which was held in Dare s Salaam at the start of the week. The meeting was organised According to him, Rwanda has said it would continue to charge 75 percent tariff on Tanzanian rice that will be found to be mixed with other rice from Asian countries. He said the rise in tariff would hurt Tanzania’s economy as it would discourage farmers to export their produce since they cannot afford to pay the price. Elaborating, he said Rwanda has decided to impose the 75 percent tariff on Tanzanian traders if they determine that the rice has been mixed. The aim is to protect their domestic market and rice producers in the East African regional market. The East Africa Community (EAC) currently considers rice a “sensitive product” and levies a 75 percent tariff because East African rice producers are...

TradeMark Africa (TMA), the region's trade development agency, has received the world's most prestigious corporate procurement certification. The award makes TMA the second organisation in Africa, after the Africa Development Bank,to receive the certification, and the first in East Africa. "This award serves as further proof of TMA adhering to the highest international standards in procurement, maintaining the principles of probity, transparency, consistency and fairness as a benchmark of good management," said Frank Matsaert TMA Chief Executive Officer. Source: Big News Network